Abstract
We present a clean test of whether inequality in endowments affects contributions to a public good. It is a clean test because, to our knowledge, it is the first to control for possible endowment effects. We find that the key adverse effect of inequality arises because the rich reduce their contributions when there is inequality.
Original language | English |
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Journal | ECONOMICS LETTERS |
Early online date | 15 Jul 2016 |
DOIs | |
Publication status | E-pub ahead of print - 15 Jul 2016 |
Keywords
- Public goods
- Experiment
- Inequality
- Wealth
- Cooperation